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Wage Dispute Lawyer

Wage disputes arise when there is a disagreement between an employer and an employee (or a group of employees) regarding the amount of pay an employee deserves for their work. Common causes of wage disputes include employee misclassification, miscommunication about unpaid benefits, and instances where employers withhold pay as a form of retaliation.

Both California and Nevada have robust labor and employment regulations that ensure employees are paid for the hours they have worked. If an employee has not received the wages they deserve, they have the right to file a claim or lawsuit against their employer.

Wage disputes can be complex, often involving employment law, labor unions, and contract negotiations. It is crucial to have an experienced labor and employment attorney represent you to ensure your rights are protected and you receive the compensation you are entitled to.

Federal Law vs. State Law 

Employers must abide by the Fair Labor and Standard Act (FLSA). The FLSA regulates how much the minimum wage and overtime wage should be. Employers must abide by both federal law and state laws. When the two laws contradict each other, they must abide by the highest pay. For example, if the minimum wage on the federal level is $7.25, but the state of California requires it to be $16.00, then the employer must abide by the highest number. Which would be the state requirement in California. The employee’s wages would then be $16.00 per hour.

What Are the Different Types of Actions I Could Take For A Wage Dispute?

  • Legal Action: Filing a civil lawsuit against your employer seeks compensation for lost wages. A lawsuit is filed in court, and you will need a highly qualified labor and employment attorney to ensure all legal requirements are met and to advocate for your rights effectively.
  • Filing a Claim: You can file a claim with the California Labor Department. The department will investigate the circumstances of the dispute and determine whether the employer or employee is liable. This process provides a formal avenue for resolving wage disputes through state intervention.
  • Reporting Internally: You can report the incident to your company’s human resources department. Often, employers prefer to handle disputes internally to maintain workplace harmony. Regardless, having an attorney represent you is crucial to ensure your rights are protected and that you are not taken advantage of during the internal resolution process.

Types of Wage Disputes

In California, there are two common types of wage disputes:

  1. Rights Disputes: These occur when an employee claims that the workplace needs to improve working conditions. This includes expectations for fair working conditions and fair employment practices.
  2. Interest Disputes: These involve disagreements between an employee and an employer regarding the financial aspects of employment. This includes issues such as vacation days, lunch breaks, hourly pay, and other compensation-related matters. Interest disputes are the most common type of dispute that can lead to lawsuits.

Which Employer Have to Follow Wage Laws?

Wage disputes can arise in any type of employment, regardless of the size or industry of the employer. All employers, whether they have one employee or thousands, are required to adhere to wage and labor laws. There are no exemptions based on the number of employees; every employer must comply with regulations that ensure fair compensation and working conditions. All employers are mandated to have a program in place that documents when employees arrive and leave work.

All employers are mandated to have a program in place that documents employees’ work hours and when employees arrive and leave work. This helps ensure compliance with laws regarding overtime, breaks, and overall working hours. By maintaining proper records, employers can avoid wage disputes and demonstrate their commitment to fair labor practices.

Ensuring adherence to wage laws not only protects employees but also promotes a healthy, transparent, and lawful working environment.

What Are Wage Disputes About?

Wage disputes often arise from violations of wage and hour laws. These laws protect employees’ rights to fair compensation and appropriate working conditions. The three primary areas covered by wage and hour laws include:

  • Wages: This refers to the amount an employee is paid, either hourly or as a salary. The minimum wage is the lowest amount an employee can be paid, and this amount is subject to annual increases to keep up with inflation and cost of living changes. Disputes may arise if employees are not paid at least the minimum wage or if there are discrepancies in their agreed-upon salary.
  • Breaks: Under California law, employees are entitled to a 30-minute unpaid meal break for every five hours worked. Additionally, employees are allowed a 10-minute paid rest break for every four hours worked. Wage disputes can occur if employers fail to provide these mandated breaks or if employees are not compensated for breaks when required.
  • Overtime: Employers must pay their employees overtime wages for any hours worked beyond the standard 40-hour work week for full-time employees. The overtime rate is typically calculated at 1.5 times the employee’s regular hourly wage. Disputes can arise if employers fail to pay the correct overtime rate or if they misclassify employees to avoid paying overtime.

Understanding these areas helps employees recognize when their rights are being violated and provides a basis for addressing wage disputes effectively.

Examples of Wage Disputes

Wage disputes can manifest in various ways, including but not limited to:

  1. Unpaid Overtime: An employee works overtime hours, but their employer refuses to pay the required overtime rate.
  2. Misclassification as Independent Contractor: An individual classified as an “independent contractor” is denied compensation that would be due if they were correctly classified as an employee.
  3. On-Call Time: Employees are required to be “on call” but are not compensated for the time they spend waiting to be called into work.
  4. Minimum Wage Violations: Employees are paid less than the state-mandated minimum wage. In California, the minimum wage is $14.00 per hour, while in Nevada, it is $8.00 per hour.
  5. Exempt Employee Misclassification: An employee is denied pay on the grounds that they are classified as an “exempt” employee, despite performing non-exempt duties.
  6. Unpaid Remote Work: An employee completes work at home but is refused compensation for that work.
  7. Severance Pay Issues: A former employee is not paid their agreed-upon severance pay upon termination.
  8. Denied Breaks: Employees are not given their mandated lunch or rest breaks, violating state labor laws.

Learning from these examples helps employees identify potential wage disputes and take appropriate action to ensure they are fairly compensated for their work.

What Type of Employee Can File a Wage Dispute Lawsuit?

We represent a wide range of employees in wage dispute claims across California, including but not limited to:

  • Self-Employed Individuals: Independent contractors who believe they have been misclassified and are entitled to employee benefits and protections.
  • High-Level Executives: Executives and managers who face disputes over compensation, bonuses, or severance packages.
  • Hourly and Salaried Employees: Workers paid hourly or on a salary basis who experience issues such as unpaid overtime, minimum wage violations, or withheld wages.
  • Laborers: Skilled and unskilled laborers who encounter wage theft, unpaid breaks, or other wage-related disputes.

No matter your position or industry, we are committed to ensuring you receive the fair compensation you deserve.

Common Wage Dispute Questions and Answers

What are wage disputes?

Wage disputes arise when there is a disagreement between an employer and an employee regarding the amount of pay an employee deserves for their work. Common causes include employee misclassification, miscommunication about unpaid benefits, and instances where employers withhold pay as a form of retaliation.

What legal actions can I take for a wage dispute?

You can file a civil lawsuit against your employer to seek compensation for lost wages. This involves filing a lawsuit in court, and having a highly qualified labor and employment attorney on your side is essential to ensure all legal requirements are met.

Can I file a claim for a wage dispute without going to court?

Yes, you can file a claim with the California Labor Department. The department will investigate the circumstances of the dispute and determine whether the employer or employee is liable. This provides a formal avenue for resolving wage disputes through state intervention.

What are the common types of wage disputes?

In California, there are two common types of wage disputes: Rights Disputes, which involve claims for better working conditions and fair employment practices, and Interest Disputes, which involve disagreements over financial aspects such as vacation days, lunch breaks, and hourly pay.

Who must follow wage laws?

All employers, regardless of size or industry, must adhere to wage and labor laws. There are no exemptions based on the number of employees; every employer must comply with regulations to ensure fair compensation and working conditions.

What are wage and hour laws?

Wage and hour laws protect employees’ rights to fair compensation and appropriate working conditions. They cover areas such as wages (minimum wage and salary), breaks (unpaid meal breaks and paid rest breaks), and overtime (pay for hours worked beyond the standard 40-hour work week).

What are examples of wage disputes?

Examples of wage disputes include unpaid overtime, misclassification as an independent contractor, uncompensated on-call time, minimum wage violations, exempt employee misclassification, unpaid remote work, severance pay issues, and denied breaks.

Who can file a wage dispute lawsuit?

We represent a wide range of employees in wage dispute claims, including self-employed individuals, high-level executives, hourly and salaried employees, and laborers. No matter your position or industry, we are committed to ensuring you receive the fair compensation you deserve.

What is the difference between exempt and non-exempt employees in California?

Non-exempt employees are entitled to overtime and meal breaks, while exempt employees, who are usually paid twice the minimum wage, do not receive overtime or breaks. Misclassification of these employees can often lead to wage disputes.

What Is An Exempt And A Non-Exempt Employee In California?

Many employees do not know what they are classified as. Employees are either exempt or nonexempt in California. Misclassification of these two types of employees oftentimes leads to a wage dispute. 

  • Nonexempt employees are those who could receive overtime and meal breaks. 
  • Exempt employees are those who are paid twice the minimum wage and do not receive overtime or breaks. Exempt employees are not subject to many labor laws. Types of exempt employees include independent contractors. 

What Are Examples of Wrongful Termination?

Examples of wrongful termination include decreasing an employee’s working hours without cause, transferring an employee to another location without good cause, firing an employee, and failing to continue wage payments. If you have experienced any of these actions, you have the right to file a lawsuit to seek compensation for lost wages and other damages.

The different types of retaliation are:

  1. Decreasing the working hours of the employee for no good cause
  2. Transferring the employee to another location without good cause
  3. Firing the employee
  4. Failing to continue to provide wage payments

If you have experienced any of the above types of wrongful termination, you have the right to file a lawsuit to get compensated for your wages and the rights that have been taken advantage of. Give us a call today to discuss your options.

Get a Free Consultation

During our free consultation, we may request specific documents and detailed information from you in order to piece together exactly what happened. For example, a couple of things we may ask from you include:

  1. The date the dispute started
  2. The names, positions, and contact information of the parties involved
  3. The last day you worked
  4. Employment contract
  5. Place of employment

Contact our experienced attorneys at Heidari Law Group today to determine if you have a valid wage dispute claim against your employer for unpaid wages. 

Our top-rated employment attorneys will

  1. Investigate the claim to build a strong case
  2. Evaluating the employment contracts and employee manuals
  3. Negotiating with the employer 
  4. Representing the employee in court if the case goes to trial

If you or a loved one have been denied compensation for hours worked, you may be eligible for compensation to recover damages owed to you. If you believe you have been cheated out of getting your hard-earned money, our labor dispute attorneys may be able to get back pay, along with liquidated damages for your unpaid hours. Contact our employment law experts at Heidari Law Group today.